Missoula Mayor Proposes Only 3.7 Percent Tax Increase (CORRECTION)

KGVO erroneously reported on Tuesday morning that Mayor John Engen proposed an 18 percent increase in taxes for the coming year. The increase wouldhave been 18 percent, if all new revenue requests were funded. Following, find the applicable portion of Mayor Engen's letter to the city council regarding the budget:

The numbers: We're recommending a general fund baseline property tax revenue increase of $232,805 that in part supports new budget items that are required to meet our legal and contractual obligations. We're recommending an additional $1,256,890 for enhancements to the baseline budget to move our strategic goals forward. As a percent total of City taxes, our general fund taxes will increase by 3.45%, our employee health insurance levy will increase by .51%, our road district levy will increase by .90% and our park district levy will increase by .30%. Voted general obligation bond debt will decrease by.50%. The total increase we're recommending is 3.87%, based on a conservative growth estimate of 3.25%, modest growth in fee revenue and a reduction in fund-balance growth.